From omnichannel to unified commerce: What’s next for retail?

Remember when shopping was simple? You walked into a store, picked up what you needed, and left. Then came the internet, ecommerce, and the expectation that brands should be everywhere simultaneously. The omnichannel era was born, and retailers scrambled to integrate online and offline experiences. However, as customer behaviors evolve, omnichannel isn't enough anymore.

Enter unified commerce—like omnichannel's more thoughtful, more organized sibling who remembers to sync the family calendar. It's not just about being present across multiple channels; it's about connecting everything in real time. Whether a customer is scrolling your website at midnight, picking up an order curbside the following day, or getting hands-on with your product in a third-party retailer, every interaction should feel seamless.

Yet, despite nearly 77% of retailers acknowledging the importance of unified commerce, only 3% have fully achieved it. The problem is too many disconnected systems, slow-moving inventory data, and store associates who are left guessing rather than guiding.

The shift from omnichannel to unified commerce

Omnichannel retailing was revolutionary when it arrived—like when Netflix first offered streaming alongside DVDs by mail. But just as we've moved from that hybrid model to seamless cross-device streaming, retail needs its own evolution. Many retailers are still struggling with disconnected systems, outdated inventory visibility, and inconsistent customer experiences.

That's where unified commerce steps in. Unlike omnichannel, which focuses on making multiple shopping avenues available, unified commerce connects every touchpoint in real time, ensuring that pricing, inventory, customer data, and sales insights flow smoothly across all platforms.

The limitations of staying omnichannel

According to research, 33% of retailers still lack the capability to build a single customer view across all channels. This disconnect creates moments that frustrate even the most loyal customers—like when a VIP shopper makes multiple purchases online but isn't given relevant recommendations when they visit a physical store or when their loyalty rewards earned on the mobile app aren't visible to store associates.

While omnichannel retailing has been the industry standard for years, it has severe limitations that impact customers and operations.

For customers, the experience often feels disjointed—like watching a movie with slightly out-of-sync audio and video. Shoppers develop detailed digital profiles through online browsing and purchasing, only to walk into physical stores where associates cannot access this valuable history.?

On the operational side, retailers face their own set of challenges. Inventory management becomes a complex puzzle when digital and physical channels maintain separate stock counts. This separation inevitably creates fulfillment bottlenecks, with items sitting in backrooms while showing as "sold out".

Financially, the costly hurdle is the duplicate or disjointed technology burden. Many retailers find themselves paying for multiple disconnected systems—like subscribing to Hulu, Netflix, and Disney+ when a single bundled service would suffice. These separate platforms drain resources and create organizational silos that are difficult to bridge.

Physical stores remain the centerpiece of more than 70% of customer shopping journeys, so omnichannel challenges must be solved. Fragmented approaches waste resources and miss opportunities to meet customer expectations. Unified commerce, which rethinks how channels work together, offers a solution.

Creating a connected retail ecosystem

Moving to a unified commerce model doesn't mean scrapping everything overnight. It's about strategically connecting the dots between digital and physical retail operations. Begin by auditing your existing technology against three critical unified commerce requirements:

Integrated customer insights: Evaluate how well your systems share customer data across touchpoints. Can a loyal customer's profile, purchase history, and preferences follow them from online to in-store? Effective unified commerce ensures that sales associates have the context to provide personalized service without customers needing to explain their history—building deeper connections and demonstrating that you truly value their business.

Streamlined checkout experience: Assess your payment processing capabilities across channels. Unified commerce eliminates friction regardless of how customers choose to pay—whether via mobile payments, self-checkout options, or traditional registers. The method may vary, but the experience should remain consistent, removing the hesitation that often leads to abandoned purchases.

Real-time inventory tracking: Perhaps most critically, examine your inventory management systems. Can they provide instantaneous visibility across all channels? When inventory systems communicate in real time, everyone benefits: Customers avoid the frustration of finding items out-of-stock despite their online availability; store associates confidently guide shoppers with accurate information; fulfillment managers make precision decisions rather than relying on guesswork; and merchandisers plan based on reality rather than approximation.

Brands that integrate these elements effectively create shopping experiences that feel intuitive rather than frustrating—like the difference between a seamlessly edited film and one full of jarring cuts.

The power of real-time inventory and customer data

Retail is so much more than just having the right products—it's about having them available, in the right place, at the right time—all while delivering a personalized experience that makes customers feel understood. The challenge? Many retailers still make decisions based on outdated data, leading to empty shelves where bestsellers should be and excess stock collecting dust in the backroom.

Real-time inventory visibility changes everything

When brands leverage live inventory data, they gain the flexibility to shift stock where it's needed most. A single, up-to-the-minute view transforms retail operations across three key dimensions:

Fewer lost sales occur when inventory systems update in real time. Customers avoid the frustration of finding empty shelves despite online availability, building the kind of reliability that translates directly into trust and repeat business.

Smarter fulfillment becomes possible as brands can ship from the optimal location—a warehouse or store—reducing delivery times and shipping costs. The system functions like a retail GPS, automatically recalculating the best route as conditions change.

Strategic merchandising improves when retailers know exactly which products are selling and which are not. This real-time insight allows for rapid adjustments to displays and promotions, optimizing physical and digital shelf space based on actual customer behavior rather than historical assumptions.

Personalization powered by predictive insights

Customers don't just want availability; they want relevance. Predictive analytics is advancing retail by helping brands anticipate what shoppers want before they even know they want it—like a skilled DJ with a killer playlist who knows how to read the crowd and queue up the perfect song to play next to keep the energy flowing.

Imagine Sarah, a dedicated runner who often purchases running shoes and gear online. With predictive insights, your system recognizes her when she enters your store and sends a perfectly timed notification: "Your current shoes have logged 300 miles. Ready to try our new carbon-plated racing model? Tap for 15% off today." The system doesn't just know she's a runner—it understands her training cycle and preferences. When she accepts the offer, associates are already retrieving her size before she even asks, creating a seamless, personalized experience that bridges online behavior with in-store service.

Store associates equipped with customer insights can provide recommendations based on previous purchases, creating a personal shopper experience for every customer who walks through the door.

The same intelligence powers smarter merchandising decisions. When your data shows that customers frequently purchase certain items together—like the apparent connection between peanut butter and jelly—you can adjust your physical store layouts to position these products side-by-side, naturally increasing basket size.

Deep personalization is no longer a luxury—it's an expectation. Retailers who leverage predictive insights to provide real-time pricing adjustments, localized promotions, and tailored loyalty rewards see increased conversion rates and stronger customer retention.

Making more intelligent decisions, faster

Beyond improving customer experience, live data is crucial for supply chain efficiency. Brands and retailers can forecast demand more accurately, preventing stockouts of high-demand products and reducing the risk of excess inventory sitting unsold. Those who embrace real-time analytics are better positioned to:

Adapt to shifting trends by spotting which products are gaining momentum before they become mainstream. It's like recognizing a hit song before it becomes the next trending audio on TikTok.

Optimize store layouts based on actual customer behavior rather than theoretical planograms. Retailers can see which areas draw the most attention and adjust accordingly.

Leverage precision pricing strategies in response to competitor movements and market conditions, ensuring they remain competitive without unnecessary markdowns.

Retail moves quickly, and brands that rely on outdated reports and delayed insights will constantly find themselves playing catch-up. The advantage goes to brands that make smarter, faster decisions, powered by always-current and predictive data.

The future of physical retail

For years, the conversation around retail has been about digital transformation, but physical stores remain the heartbeat of the shopping experience. While ecommerce offers convenience, brick-and-mortar stores provide something digital platforms can't replicate—tactile engagement, immediate gratification, and human connection. However, the role of stores is evolving. They are no longer just points of sale; they are now experience hubs, fulfillment centers, and critical brand touchpoints in a unified commerce ecosystem.

Retailers that embrace this shift aren't just staying relevant—they're future-proofing their businesses. But to thrive, brands must blend in-store and digital shopping seamlessly, ensuring customers move effortlessly between browsing online and making purchases in-store—without a hitch.

Stores as experience hubs

Consumers today expect more from their shopping trips than rows of shelves and checkout lines. Physical retail is increasingly about immersion—creating spaces where customers can interact with products in ways that digital channels can't offer. From augmented reality (AR) try-ons to interactive kiosks that provide deeper product insights, stores are transforming into dynamic spaces for discovery, connection, and entertainment.

Retailers are also leveraging physical locations to build community and deepen loyalty. Events, workshops, and personalized shopping appointments give customers a reason to visit beyond a transaction. When paired with real-time data, these in-store experiences strengthen brand affinity and allow brands to tailor offerings to individual shoppers.

From retail floor to fulfillment hub

Unified commerce is also redefining how retailers think about inventory and logistics. Traditionally, stores and warehouses operated separately, but now, physical stores are doubling as micro-fulfillment centers, bridging the gap between online and in-person shopping.

Features like ship-from-store and buy online, pick up in-store (BOPIS) are no longer just perks—they're expectations. Today's consumers demand fast, flexible fulfillment, and retailers that leverage their physical locations as mini-distribution centers gain a significant competitive edge. These fulfillment strategies meet customer expectations for speed and convenience, increase foot traffic, and create opportunities for additional in-store purchases.

Real-time inventory visibility complements these fulfillment options, enabling smarter allocation decisions across the retail network. Brands can proactively shift merchandise between locations, preventing stockouts at high-demand stores and excessive inventory at slower locations. This dynamic approach to inventory management maximizes sales potential while minimizing carrying costs.

Technology empowering store operations

Technology is a key driver of this retail transformation. Mobile checkout, RFID-powered inventory tracking, and AI-driven customer insights enhance in-store operations. Smart fitting rooms equipped with touchscreens, digital price tags that adjust dynamically, and AI-powered chat assistants are becoming familiar sights in forward-thinking stores. These innovations enhance customer experiences and boost operational efficiency, allowing retailers to manage staffing, inventory, and promotions with precision.

And it's not just about automation—human connection remains at the core of retail. Store associates evolve from transaction facilitators to brand ambassadors and product experts, armed with real-time data to provide personalized recommendations. Yet, even the most knowledgeable associates can't be everywhere at once. When stores are understaffed, brands increasingly turn to store execution solutions—like interactive kiosks, mobile apps, and Brand Reps—to maintain consistency in customer service.

The human touch: where technology meets expertise

Despite all the technological advancements, the human element remains irreplaceable in physical retail. Shoppers still crave the ability to see, touch, and try products before purchasing, a factor that significantly reduces returns. They value knowledgeable staff who can provide personalized recommendations and solve problems on the spot.

Combining technology and human expertise creates a decisive advantage in this area. When store associates are equipped with real-time data and supported by innovative execution tools, they can deliver exceptional service that purely digital experiences can't match.?

The path forward: bringing unified commerce to life

As consumer expectations evolve, unified commerce has become essential for retail success. The challenges may seem daunting, but the solution lies in strategically integrating systems and processes to create seamless experiences.

The keys to successful implementation

Retailers moving toward unified commerce should focus on three critical elements:

Real-time visibility ensures everyone—from customers browsing online to associates on the sales floor—has accurate, up-to-date information about product availability and location. This transparency eliminates frustration and builds trust by preventing disconnects between digital promises and in-store reality.

Flawless store execution bridges the gap between strategy and reality. Even the most sophisticated digital systems can't compensate for poor in-store execution. Ensuring merchandising standards, promotional displays, and associate knowledge align with digital messaging creates the consistency customers expect.

Data-driven decision-making transforms retail operations by providing insights that drive smarter merchandising, inventory allocation, and personalization. When brands can quickly identify what's working and what isn't across locations, they can replicate success and address issues before they impact sales.

Balancing technology and human expertise

The most successful unified commerce strategies recognize that technology alone isn't enough. The human element—knowledgeable associates, passionate brand representatives, and empowered store teams—remains essential to creating memorable shopping experiences.

When technology enhances rather than replaces human expertise, retailers can deliver the personalized, consistent experiences that build lasting customer relationships across all channels.

Book a demo today to learn more about creating seamless, data-driven shopping experiences that keep customers returning.